Annecy says 2018 Winter Games bid is fully funded

By Trung Latieule, Associated Press

PARIS  Annecy bid leader Charles Beigbeder denied reports Tuesday that financial problems could affect the chances of the French city hosting the 2018 Winter Olympics.

French station RMC radio reported earlier this week that the Annecy bid has a shortfall of —2.5 million ($3.7 million) in its budget of —29.1 million ($42.7 million).

Annecy is up against Munich, Germany; and Pyeongchang, South Korea; when the International Olympic Committee vote on July 6 in Durban, South Africa, to decide the host city.

Beigbeder, in charge since Edgar Grospiron quit last December because of budgetary issues, said the bid is financially sound.

"We're in a strong position," Beigbeder told The Associated Press. "All our expenses are covered with our revenues. The budget is balanced. There is absolutely zero deficit. I don't understand this controversy.

"We have all of the funds necessary to compete in this race between now and the final decision in Durban. We fully believe this is a bid that can win."

Beigbeder said the bid had the backing of the French president and is financially guaranteed by his government.

"Nicolas Sarkozy strongly committed himself to promote our bid. He has stated the strategic importance of sport and the Olympic Games in particular," Beigbeder said. "The state backs us up all the way and guarantees that revenues entirely cover expenses.

"We can't have a deficit because we are a public entity, which by definition can't be in deficit because we are insured by local authorities and the state."

Beigbeder said the private sector still provides more than 40 percent of the bid's funding.

The motion to pass the budget was postponed three times and then only went through on May 30 with reservations from the city of Annecy and its related Rhone-Alpes region and Haute-Savoie department.

"We decided to abstain (from voting) because there are too many uncertainties over the receipts," Gwendal Peizerat, a councilor delegate for the region, told RMC.

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